Reata Pharmaceuticals — a rare disease drugmaker recently acquired by Biogen — filed a WARN notice Oct. 9, alerting Texas officials of its plans to cut 113 positions. The layoffs will take effect Nov. 27.
Over the summer, Biogen announced it had agreed to purchase Reata for $7.3 billion. The deal closed in late September. Days before the deal was announced, Biogen said it planned to cut 1,000 jobs, more than 10% of its workforce by 2025, in an effort to reduce operating costs.
Reata received FDA approval for Skyclarys earlier this year, which is the first approved treatment in the U.S. for a rare genetic disease called Friedreich's ataxia. Analysts predict the drug has potential to become a blockbuster.
In an email to Becker's, a Biogen spokesperson said roles affected were those "where there are existing synergies at Biogen, such as general and administrative services," as well as soem development roles. "That being said, we are retaining those colleagues who have been essential to the launch of Skyclarys to ensure there are no disruptions for patients," the spokesperson said.